Market Overview

Staples, Inc. Announces Receipt of Requisite Consents and Extension of the Cash Tender Offer and Consent Solicitation for its 4.375% Notes Due 2023

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Staples, Inc. (NASDAQ:SPLS) ("Staples" or the "Company") announced
today that it has received the requisite consents with respect to its
previously announced solicitation of consents (the "consent
solicitation") to the adoption of certain proposed amendments (the
"Proposed Amendments") to the terms of the Company's 4.375% Senior Notes
due 2023 (the "Notes"). The Company has also extended the consent time
(the "Consent Time") for the consent solicitation and the expiration
date (the "Expiration Date") for its previously announced tender offer
(the "tender offer") to purchase for cash any and all of the outstanding
Notes.

As of 11:59 p.m., New York City time, on August 18, 2017, according to
information provided by D.F. King & Co., Inc., who is acting as the
information agent and tender agent in connection with the tender offer,
$253,819,000 aggregate principal amount of the Notes, representing
50.76% of the outstanding aggregate principal amount of the Notes, were
validly tendered (and not validly withdrawn), which represents the
requisite consents to the adoption of the Proposed Amendments. The
Proposed Amendments were effected by a supplemental indenture executed
by the Company and HSBC Bank USA, National Association, as trustee, and
will become operative at such time as the conditions precedent to the
consent solicitation have been satisfied or waived, which includes,
among other things, the purchase of the Notes on the Settlement Date (as
defined below).

The Consent Time has been extended to 5:00 p.m., New York City time, on
August 24, 2017. The withdrawal deadline for the tender offer has
expired as of 5:00 p.m., New York City time, on August 11, 2017. The
Expiration Date has been extended to 11:59 p.m., New York City time, on
September 8, 2017. Except for the extension of the Consent Time and the
Expiration Date, all of the other terms and conditions of the tender
offer and the consent solicitation remain unchanged.

Holders of Notes that validly tendered (and did not validly withdraw)
their Notes and validly delivered (and did not validly revoke) their
corresponding consents at or prior to the Consent Time are eligible to
receive $1,012.50 per $1,000 principal amount of Notes tendered (the
"Total Consideration"), which includes a consent payment of $30.00 per
$1,000 principal amount of Notes tendered (the "Consent Payment").
Holders who tender their Notes after the Consent Time and on or prior to
the Expiration Date will be eligible to receive $982.50 per $1,000
principal amount of Notes tendered (the "Purchase Price"), but not the
Consent Payment. In addition to the Total Consideration or Purchase
Price, as applicable, holders who validly tender Notes will receive
accrued and unpaid interest up to, but not including, the Settlement
Date, which we expect to coincide with the closing of the Merger (as
defined below).

Parent (as defined below) has advised the Company that it expects that
any Notes which remain outstanding after consummation of the tender
offer will not be secured by any liens granted under the senior secured
credit facilities entered into in connection with the Merger and will be
effectively subordinated to such senior secured credit facilities to the
extent of the value of the collateral securing such secured
indebtedness. In addition, such Notes will not benefit from any
subsidiary guarantees issued to such senior secured credit facilities
and the new 8.50% senior notes due 2025. Accordingly, any Notes
remaining outstanding will be structurally subordinated to the
indebtedness of any subsidiary that will guarantee such senior secured
credit facilities and new 8.50% senior notes due 2025.

The Company will, promptly following the Expiration Date, accept for
purchase all Notes validly tendered (and not validly withdrawn) on or
prior to the Expiration Date (the "Acceptance Date"). Payment of the
Total Consideration or the Purchase Price, as applicable, for Notes so
accepted for purchase will be made by the Company promptly after the
Acceptance Date (the "Settlement Date"). The Company retains the right
to extend the Expiration Date and, consequently, the Acceptance Date and
the Settlement Date, for any reason at its option (subject to applicable
law), and expects to extend the Expiration Date so that the Settlement
Date coincides with the closing of the Merger.

The tender offer and the consent solicitation are made in connection
with the Agreement and Plan of Merger, dated as of June 28, 2017, by and
among Staples, Arch Parent Inc., a Delaware corporation ("Parent"), and
Arch Merger Sub Inc., a Delaware corporation and a wholly owned
subsidiary of Parent ("Merger Sub"), pursuant to which Merger Sub will
be merged with and into Staples with Staples continuing as the surviving
corporation (such transaction, the "Merger"). The tender offer and the
consent solicitation are subject to the satisfaction of certain
conditions, including the consummation of the Merger. The Company
anticipates that the Merger will be completed in the third fiscal
quarter of 2017 but there can be no assurance that the Merger will be
completed in a timely manner, or at all. Please refer to the Offer to
Purchase and Consent Solicitation Statement and the related Letter of
Transmittal for more information.

BofA Merrill Lunch and Deutsche Bank Securities are acting as dealer
managers and solicitation agents in connection with the tender offer and
the consent solicitation. Questions regarding the tender offer may be
directed to BofA Merrill Lynch at (888) 292-0070 (toll-free) or (980)
388-3646 (collect) or Deutsche Bank Securities at (866) 627-0391
(toll-free) or (212) 250-2955 (collect). D.F. King & Co., Inc. is acting
as the information agent and tender agent in connection with the tender
offer. Documents relating to the tender offer and the consent
solicitation may be obtained by contacting D.F. King & Co., Inc. at
(800) 870-0126 (toll-free) or by email at stpls@dfking.com.

None of the Company, the dealer managers and solicitation agents, the
information agent and tender agent or any of their respective
affiliates, is making any recommendation as to whether holders should
tender any Notes in response to the tender offer. Holders of Notes must
make their own decision as to whether to tender any of their Notes and,
if so, the principal amount of Notes to tender. This announcement is for
informational purposes only and does not constitute an offer to sell or
the solicitation of an offer to buy any security and shall not
constitute an offer, solicitation or sale in any jurisdiction in which
such offering, solicitation or sale would be unlawful. The tender offer
is being made solely by means of the Offer to Purchase and Consent
Solicitation Statement and the related Letter of Transmittal. In those
jurisdictions where the securities, blue sky or other laws require any
tender offer to be made by a licensed broker or dealer, the tender offer
will be deemed to be made on behalf of the Company by the dealer
managers or one or more registered brokers or dealers licensed under the
laws of such jurisdiction.

About Staples, Inc.

Staples brings technology and people together in innovative ways to
consistently deliver products, services and expertise that elevate and
delight customers. Staples is in business with businesses and is
passionate about empowering people to become true professionals at work.
Headquartered outside of Boston, Mass., Staples, Inc. operates primarily
in North America.

Safe Harbor for Forward-Looking Statements

Statements in this news release regarding the tender offer and consent
solicitation, the proposed Merger, the expected timetable for completing
the Merger, future financial and operating results, future opportunities
for the combined company and any other statements about Parent's and our
management's future expectations, beliefs, goals, plans or prospects
constitute forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Any statements that are not
statements of historical fact (including statements containing the words
"believes," "plans," "anticipates," "expects," estimates and similar
expressions) should also be considered to be forward-looking statements,
although not all forward-looking statements contain these identifying
words. Readers should not place undue reliance on these forward-looking
statements. The Company's actual results may differ materially from such
forward-looking statements as a result of numerous factors, some of
which the Company may not be able to predict and may not be within the
Company's control. Factors that could cause such differences include,
but are not limited to, (i) the risk that the proposed Merger may not be
completed in a timely manner, or at all, which may adversely affect the
Company's business, (ii) the failure to satisfy all of the closing
conditions of the proposed Merger, including the adoption of the Merger
Agreement by the Company's stockholders and the receipt of certain
governmental and regulatory approvals in the U.S. and in foreign
jurisdictions, (iii) the occurrence of any event, change or other
circumstance that could give rise to the termination of the Merger
Agreement, (iv) the effect of the announcement or pendency of the
proposed Merger on the Company's business, operating results, and
relationships with customers, suppliers, competitors and others, (v)
risks that the proposed Merger may disrupt the Company's current plans
and business operations, (vi) potential difficulties retaining employees
as a result of the proposed Merger, (vii) risks related to the diverting
of management's attention from the Company's ongoing business
operations, and (viii) the outcome of legal proceedings instituted
against the Company related to the Merger Agreement or the proposed
Merger. There are a number of important, additional factors that could
cause actual results or events to differ materially from those indicated
by such forward-looking statements, including the factors described in
the Company's Annual Report on Form 10-K for the year ended January 28,
2017 and its most recent quarterly report filed with the SEC. The
Company disclaims any intention or obligation to update any
forward-looking statements as a result of developments occurring after
the date hereof.

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